Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
ejfi24
New Member

Changing 1099-b Sale Category

Hello! I have a Robinhood 1099-B that it is a box A category. The form aggregated 9 transactions, however these were wash sales which cannot be aggregated per the IRS. The form also states "Total proceeds and cost reported to the IRS." Does this mean that the basis for the individual sales has not been reported, and that just the total basis has been reported? Does this mean that I need to change what the sales category is? 

 

Somewhat unrelated, but I also don't see where the cost basis could be coming from based on the date acquired. The two don't match up at all and Robinhood states they use FIFO but can FIFO and tax lots be used at the same time, leading to these different numbers? Based on this and the seemingly random dates (I don't understand the lot/aggregation thing so I'm sure they're not truly random) it seems like I wouldn't be able to rely on the 1099 at all. All of that said, I only actually sold stock 4 times in 2019, 2 limit sales and 2 market sales. It makes sense to me that the limit sales would be listed as multiple transactions, but again, the dates don't seem to line up and on the date of one of the market sales the 1099 lists 5 transactions. 

 

Edit: I'm trying to dig into this and the cost basis is at least making some sense. I understand that it's proceeds + the amount that is a wash (the whole loss in this case). Is this the cost basis that should be reported to the IRS though? It seems like they want to know the price I actually paid for the security, and the amount listed on the 1099 is not that. 

3 Replies
KathrynG3
Expert Alumni

Changing 1099-b Sale Category

Yes, I understand why you want to review these wash sale transactions.

Please check out this article How do I enter a wash sale on my 2019 return? and rest assured that TurboTax has you covered.

fanfare
Level 15

Changing 1099-b Sale Category

Your basis in the assigned shares is increased by the disallowed loss. Report that amount as shown.

The assignment  shares will be taken from the earliest acquired identical security.

The disallowed loss also  appears as an adjustment on your wash sale transaction.

Net result: it all comes out in the wash, as they say.

 

if you didn't sell the assigned shares yet, you'll take the loss at some future time

unless the assigned shares are in your IRA.  in that case the loss cannot be recovered.

 

 

fanfare
Level 15

Changing 1099-b Sale Category

For best results, do rely on your 1099-B since the broker is required to track your basis and that's what goes to the IRS.

Dynamic AdsDynamic Ads
Privacy Settings
v